How AI is SECRETLY Changing the Job Market (Its Happening!)

So there has actually been a new study that reveals how the labor market is going to change with the advent of generative AI. So in this video I'll be explaining to you guys exactly what to expect for certain areas that are going to be affected by AI. So you see here it says how Gen AI is already impacting the labor market. And it's crazy because this article talks about a number of things that I wouldn't say are worrying, but they are worrying when we start to think about the future capabilities of these models. So it says here that unlike past automation technologies, Gen AI has the unique potential to impact all job sectors, which is pretty crazy if you ask me, because I think that when we actually look at how past technology has impacted certain areas, I would say when we look at things like computers, they only really impacted desk jobs. Of course, they impacted the entire world, but not certain areas of the world too. There's of course some nuance to it. So essentially it says, particularly given its fundamental ability to improve its capabilities over time, which promises to affect the workforce in ways that go beyond simple job replacement. Well, essentially the research is coming from this, which is who is is AI replacing the impact of Gen AI on online freelancing platforms? This was done in 2024 and this was basically showing us how Genai is impacting online platforms. But it also does talk about how it could affect things further down the line within regards to job economy. So it basically talks about how our findings show significant short term job replacement after these tools were introduced and that jobs prone to automation like writing and coding were the most affected by ChatGPT. Now this is no surprise to me because when we look at the average application for those who are trying to use ChatGPT, we do know things like writing and coding are going to be some of the most immediate things that people initially use these models for. So it's no doubt that of course these areas are going to be instantly impacted. Which of course brings us to the question, when other tools are released, I'm pretty sure the same thing is going to happen now. It also talks about the coming challenges and opportunities. It says although still in its early stages, Genai's impact on online labor markets is already becoming discernible, suggesting potential shifts in long term labor market dynamics that could bring both challenges and opportunities. And, and in my honest opinion, before when I used to try and hire scriptwriters or people to help me flesh out a script for a really long video on a different channel of mine, I would maybe get around 20 or so responses. But now I can promise you guys, and I am not kidding, and let me just show you guys some of my own results. So this is actually my upwork profile and this is where I submitted something in 2022 where I wanted to find someone to help me write content for one of my YouTube channels. And I only got around 28, as you guys can see right here, I only 28 submissions. But what's crazy about this guys, is that after the advent of ChatGPT, so this was in 2022, in 2023 guys, literally just after ChatGPT was introduced, I literally got around four times the amount of responses for every single thing that I would post. And it was absolutely overwhelming. The online labor market has completely changed, especially in areas like writing and coding. You're simply bombarded. And I remember, I think it was around two months ago, I wanted someone to help me write one piece of content and I received. Guys, I received over 100 applications and it's not something that I do at the moment because most of the content is voiced and scripted and written by myself, but it's something that is completely incredible considering it's not been that long and these tools are proliferating online labor markets now. They of course focus their analysis on the introduction of two types of gen AI tools, the ChatGPT and image generating AI. Specifically, they wanted to understand whether the introduction and diffusion of these tools decreased demand for jobs on the platform and if so, which type of jobs and skills are affected and by how much. Now they said that after the introduction of ChatGPT there was a 21% decrease in the weekly number of posts and automation prone jobs compared to manual intensive jobs. Basically stating that look, overall after the advent of ChatGPT, people hiring for people that are in automation prone jobs dropped by around 21%. So if ChatGPT affected any online industry that you are in, job postings for, that went down 21%. And it's quite clear to say that anyone who was using those online services to get work saw around a 20% decrease in the amount of jobs that they could apply for. This is that writing jobs were affected the Most with a 30% decrease followed by software app and web development by 20% and software engineering by 10%. And you can see it highlighted in this graph. What's crazy is that there was already a decline in this area, but with the advent of ChatGPT it seems that it just made it so much worse. Real writers, which is revealing the growing trend of job replacement. And you can clearly see that it says we compared this impact against both typical and seasonal demand fluctuations on the job platform and the effects that automation had on traditional labor markets. And the impact produced by Gen AI tools was significantly more basically stating that Gen AI impacts the labor market a lot more than traditional forms of automation. You can see here how they speak about how demand for graphic design and 3D modeling freelancers, those jobs actually increased a decrease in design by 17% which is absolutely incredible. And for those of you thinking about what do you mean 3D modelers, there's actually a range of different 3D tools that are enabling you to create 3D models on demand. I've actually used a lot of them and they weren't good until recently and I can see these models getting increasingly better. And it seems unfortunately like the creative sector is going to undergo some real labor market changes. It also talks about how the number of bids submitted by freelancers to secure a job post to obtain the task in automation prone jobs or rose by 8.5% after the introduction by ChatGPT and by my percent, like my own personal experience, I've seen this increase by 400% which is a 4x increase which basically means that you're now facing competition. Think about it. Before you would need to beat 1 in 20, but now it's a 1 in 100, which is literally insane when you think about that kind of job market. Now what's crazy about this though, it isn't all doom and gloom because later in the article they actually talk about some stuff in that means that you could actually be benefiting from the AI revolution. And it talks about how these results suggest that after ChatGPT launched, automation prone jobs have become slightly more complex, requiring a wider range of skills that employees are willing to pay more for these jobs. And basically what they're stating here is that people who actually use these tools are actually benefiting the most from this AI revolution. So if you're someone that's in an industry that that in the future AI is quite likely to affect if you can manage to be one of the early individuals that is able to use those tools in your career a lot earlier than other individuals, it's quite likely that your pay rise is probably going to increase. Take a look at this. It says job posts that include ChatGPT in their skill requirement also saw an increase. So in the period after the ChatGPT introduction we found that 903 job posts listing ChatGPT in the skill tags and in addition to more than 88% of these jobs fall into automation prone categories with 82% of these jobs related to software, app and web development. And apparently this area is actually growing increasingly. Meaning that for those of you who are thinking, okay, I'm someone who's a graphic designer, I'm someone who's a writer, if you can actually learn these tools, learn the agentic frameworks, actually augment yourself with AI, I think you're going to be completely fine. And this was something that I'd known myself, but every now and again I actually need a really hyper specific use case for ChatGPT automation and I actually have to hire someone for that role so that they can help me solve my specific use case. I don't do this that often, but it is something that I do think that if you do have those skills, it is 100% worth learning. And of course, as you can see here, it says that the results suggest that the ability to integrate AI tools into work is becoming increasingly valued and workers likely updating their skill sets to include Genia capabilities. And this basically says that this shift underscores that reskilling is not only underway, but is also becoming an essential response to the evolving job market driven by gen AI advancements. Which means that for those of you that are completely afraid about Gen AI, I would say that if you're able to use these tools, you're going to become remarkably more effective, more effective than you were before, and you can probably even demand more than your counterparts who don't know how to use a tool. Trust me when I say when you truly dive into what these tools are capable of doing, you are going to be ten times as quick as someone in your position. Because a lot of people truly underestimate what is possible with these models and thus they get left behind. Now, of course it says that Genai will continue transforming job market dynamics by automating a wide range of tasks. For organizations to succeed, they must invest in developing a workforce capable of integrating AI into daily operations. And the strategic focus should be on augmenting human potential rather than merely replacing it. Managers who embrace this mindset will not only help their teams navigate the new technology, but drive long term growth and innovation in their organizations. Which basically means that, look, this is something that you need to learn how to do. Now this is something that I think is quite interesting because in the next wave, I do wonder if humans are going to still be useful. We do know that the next wave is of course automating computer operations, which basically means that anything happening on a computer is going to be heavily automated. Sam Altman also stating that, look, the next giant breakthrough will be agents. And we do know that these things can operate autonomously. And of course with a 1, this is likely going to increase in terms of the capabilities of the models as benchmarks are broken through. And if you watch my recent video, you'll know that these things are on a steep rate of improvement considering the fact that there are new paradigms discovered. And it's quite likely that areas like healthcare, physicists and maths are going to be areas that are going to be the most affected. I do not think that these people are going to be replaced, but I do think that we're just going to get more out of these models and more out of people in those careers, because these things right now are still tools. And of course we do have copilot where there's going to be autonomous agents there. So I would say the takeaway from this is, yes, AI is changing the landscape, but if you're someone that is actively trying to understand how to use these tools better, it's quite worth it to actually learn how to use these tools so you aren't one of the people that's left behind because things are changing rapidly. If we look back on the last three years, you can see that things have changed substantially in certain labor markets. Meaning that when any new tool comes out in your industry and I'm going to do and unfortunately I'm going to use this as a shameless opportunity to plug my school community where I've actually enabled a free trial so you can become one of the 100 members using my AI templates and prompts and strategies that to build passive income streams. If that's something that interests you, link is in the description, but otherwise, have a wonderful day.